Here’s something many homebuyers don’t realize. When the housing market slows down, homeowners and builders don’t always react the same way.
Think about it this way. If you’re selling your home and aren’t getting the offers you hoped for, you can always take it off the market, stay where you are, and wait for the market to improve.
But builders? They’re often more motivated to keep going, even when the market slows down.
They’ve already put a lot of money into building those homes. And every house that sits unsold ties up their money while adding ongoing costs.
That’s why some builders may be more willing to negotiate right now, which could be good news for you as a buyer.
Fewer Buyers Are Making Moves. And Builders Are Feeling It.
You’ve probably seen the headlines. According to the latest report from the National Association of Realtors (NAR), pending home sales, which are homes under contract but not yet closed, dropped 7.3% in September and 11.3% compared to the same time last year.
Why? Higher mortgage rates are making it harder for buyers to afford a home. While this report focuses on existing homes, there are also signs that the new construction market is slowing down.
According to the National Association of Home Builders (NAHB), builder confidence fell to 29 in October, its lowest point since June 2012. Buyer traffic also dropped to its lowest level in more than a decade, aside from the early days of the pandemic.
““Demand persists, but higher mortgage rates, elevated construction costs and weaker consumer confidence are keeping more buyers on the sidelines.”
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Here’s why this is important for you.
A homeowner can afford to wait for the right offer. But builders with several finished homes sitting unsold may be more eager to sell sooner rather than later.
That means builders might be more willing to negotiate with you than you realize.
Builders Are Already Making Moves To Win Buyers Over
If you think builders never negotiate, take a look at what they’re doing right now. According to the latest NAHB survey, in October:
• 65% of builders are offering incentives to buyers.
• 43% are lowering their prices, the highest percentage recorded from 2020 to 2026.
• Builders are typically reducing prices by 6%.
So yes, builders are willing to negotiate. And with demand slowing down, now is a good time to see how much flexibility they might offer.
That could mean negotiating a lower price, asking for a mortgage rate buydown, getting help with closing costs, or requesting upgrades that would otherwise cost you extra.
And here’s a tip that could really make a difference.
Don’t just focus on new communities or beautiful model homes. Look for builders with finished homes that are still waiting for buyers.
These are often called quick move in homes or spec homes. And the longer a finished home sits on the market, the more willing a builder may be to consider an offer to get it sold.
Don't Just Ask What's Available. Ask What's Negotiable.
Don’t assume the listed price or advertised incentives are the best deal you can get.
This is where having your own real estate agent can make a big difference. An agent who knows the local market can help you compare builder incentives, find communities with more available homes, and figure out where you may have room to negotiate.
Of course, not all builders offer the same deals. Some may be more willing to help with closing costs or lower your mortgage rate than to reduce the home’s price.
But that's precisely why it's worth asking.
The key is knowing where to look, what to ask for, and where there’s room to negotiate. That’s why having your own real estate agent can make all the difference.
Bottom Line
A homeowner who isn’t happy with an offer can choose to wait for a better one. But builders with finished homes to sell may have different priorities, and that could give you an advantage as a buyer.
If you’re ready to buy, let’s explore which builders have move in ready homes available in our area and find out what kind of deals they’re willing to offer.
